Mr Calhoun. as far as trend-following is concerned, this is by far THE most important money management element! The trader must test the market with a small/tiny position and IF the market moves the right way then he can trail the move, and play with the house's money so to speak. Excellent post.
Right re russ see SRTY/TZA. I trade SQQQ when nas drops. Good point R:R getting interesting especially re VIX etns since VIX is like a compressed spring and will certainly go back up sometime. Yes re trailing stops especially critical for UVXY bc sharp moves
I'll scale up UVXY etc tomorrow if they keep going up. I'm long roughly just $6k worth of inverses UVXY SQQQ SRTY SOXS etc tiny for now
nice gap up uvxy; im long 800 shares overnight, will start selling premkt if it drops under 4.75; will scale in over 5